In the second quarter of 2023, Bulgaria ranked second in the European Union in terms of quarterly growth in property prices, following only Latvia. According to preliminary Eurostat estimates, housing prices in the country increased by 4.3% compared to the first quarter. This growth has received close attention from both economists and potential real estate investors.
According to Eurostat, at the beginning of the year, in the first quarter, Bulgaria, together with Slovenia, already ranked fifth in the EU in terms of quarterly growth in housing prices. However, in the second quarter the country demonstrated a significant acceleration in price growth, rising to the second step of the podium with a result of 4.3%.
Comparing the average quarterly increase in housing prices in the European Union, which includes 27 countries, it can be noted that Bulgaria and Latvia are superior to other countries. Latvia, the leader in growth, showed an increase of 5.1%. Thus, the Baltic country was at the top of the list.
Comparing with other EU countries, it is clear that in the first quarter of 2023, Bulgaria, in addition to Slovenia, also took active steps towards increasing real estate prices. Only Hungary (+3.6%), Croatia (+2%), Cyprus (+2%) and Lithuania (+1.8%) showed lower growth rates.
However, it is worth noting that the European Union as a whole recorded a quarterly drop in property prices in April-June 2023 at 1.1%. This means that despite the active rise in prices in some countries, in general the situation in the EU turned out to be heterogeneous.
Experts point to several factors that could influence the rise in real estate prices in Bulgaria. This includes increased interest from foreign investors, the country's stability and its attractive location on the Black Sea coast.
Bulgaria, with its beautiful natural scenery and many resorts, remains an attractive destination for property investors, and rising house prices are a reflection of this activity. However, analysts will continue to closely monitor the dynamics of the country's real estate market and its impact on the economy as a whole.